Tax benefit in Health Insurance Under Section 80D

A health insurance plan has become a necessity in today’s age when diseases and illnesses have become rampant. The medical expenses are so high that they give a common middle-class man a run for his money. A health plan, by meeting the medical costs, provides the much-needed relief from the financial strain which a medical emergency brings. Besides being a financial reliever, did you know that a health insurance plan saves your taxes too?

Yes, if the coverage benefits were not reason enough, the tax-saving angle might further motivate you to invest in a health insurance plan. Do you know the tax benefit which you can get from a health plan? Let’s find out:

As per the regulation of Section 80D of the Income Tax Act, the premiums paid for a health insurance plan are exempted from your taxable income. There is a maximum limit on the exemption amount available. This limit depends on age and the members covered. The maximum exemption which you can avail is Rs.60, 000. Let’s understand how:

List of Tax Exemption on Health Insurance:

So, if you invest in a health insurance policy, you can reduce your taxable income by up to Rs.60, 000. Isn’t this a sweet deal?

Choose wisely!